Diversification into Art Mutual Funds
Chapter
Abstract
Mutual funds have become a popular structure for investors seeking exposure to financial markets. With thousands of funds in operation, it is unsurprising that mutual funds have become the largest means of investment in the USA, with almost $7.5 trillion of assets held at the beginning of 2004.1 The structure provides investors with an opportunity to participate in securities markets without having to become money managers themselves. Furthermore, by pooling small amounts of money into a single fund value, individual investors are able to participate in investment strategies that would have otherwise been financially unfeasible.
Keywords
Mutual Fund Hedge Fund Asset Class Auction House Mutual Fund Industry
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
Preview
Unable to display preview. Download preview PDF.
References
- Anderson, R.C. (1974) “Paintings as an Investment”, Economic Inquiry, 12 (1): 13–26.CrossRefGoogle Scholar
- Angnello and Pierce (1996) “Financial Returns, Price Determinants and Genre Effects in American Art Investment”, Journal of Cultural Economics, 20 (4): 359–83.CrossRefGoogle Scholar
- Ashenfelter, O. (1989) “How Auctions Work for Wine and Art”, Journal of Economic Perspectives, 3 (3): 23–36.CrossRefGoogle Scholar
- Ashenfelter, O. and Graddy, K. (2003) “Auctions and the Price of Art”, Journal of Economic Literature, 41 (3): 763–88.CrossRefGoogle Scholar
- Barre de la, M., Ducclo, S. and Ginsburgh, V. (1996) “Returns of Impressionist, Modern and Contemporary European Paintings 1962–1991”, Annales dÉconomie et de Statistique, 35: 143–81.Google Scholar
- Bauer, R., Molesnaar, R. Steenkamp, T. and Vrugt, E. (2004) “Dynamic Commodity Timing Strategies”, LIFE Working Paper, no. 04–012.Google Scholar
- Baumol, W.J. (1986) “Unnatural Value: Or Art Investment as Floating Crap Game?”, American Economic Review, 76 (2): 10–14.Google Scholar
- Bogle, J.C. (2005) “The Mutual Fund Industry 60 Years Later: For Better or Worse?”, Financial Analysts Journal, 61 (1): 15–24.CrossRefGoogle Scholar
- Buelens, N. and Ginsburgh, V. (1993) “Revisiting Baumol’s ‘Art as Floating Crap Game”, European Economic Review, 37(7): 1351–71.Google Scholar
- Campbell, R. (2005) “Art as an Alternative Asset Class”, Working Paper, Maastricht University.Google Scholar
- Candella, G. and Scorcu, A.E. (1997) “A Price Index for Art Market Auctions: An Application to the Italian Market of Modern and Contemporary Oil Paintings”, Journal of Cultural Economics, 21: 175–96.CrossRefGoogle Scholar
- Chanel, O., Gerard-Varet, L.A. and Ginsburgh V. (1996) “The Relevance of Hedonic Price Indices”, Journal of Cultural Economics, 20 (1): 1–24.CrossRefGoogle Scholar
- Deutschman, A. (1991) “A Calculus of Collectibles”, Fortune, 124 (10): 115–20.Google Scholar
- Fase, M.M.G. (1996) “Purchase of Art: Consumption and Investment”, De Economist, 144 (4): 649–69.CrossRefGoogle Scholar
- Frey, B.R. and Eichenberger, R. (1995) “On the Return of Art Investment Return Analyses”, Journal of Cultural Economics, 19: 207–20.CrossRefGoogle Scholar
- Frey, B.S. and Pommerehne, W.W. (1989) Art Investment: An Empirical Inquiry, 396–409.Google Scholar
- Frey, B.S. and Sema, A. (1990) “Der Preis der Kunst”, Kursbuch, 99: 105–13.Google Scholar
- Genesove, D. and Mayer, C. (2001) “Loss Aversion and Seller Behaviour: Evidence from the Housing Market”, Quarterly Journal of Economics, 116 (4): 1233–60.CrossRefGoogle Scholar
- Ginsburgh, V., Mei, J. and Moses, M. (2006) “On the Computation of Price Indices”, in Handbook of Economics, Art and Culture ( London: Elsevier).Google Scholar
- Goetzmann, W.N. (1993) “Accounting for Taste: Art and the Financial Markets over Three Centuries”, American Economic Review, 83 (December): 1370–76.Google Scholar
- Goetzmann, W.N. (1996) “How Costly is the Fall from Fashion? Survivorship Bias in the Painting Market”, in V. Ginsburg and P.-M. Menger (eds), Economics of the Arts: Selected Essays ( Amsterdam: Elsevier ).Google Scholar
- Goodwin, J.D. (2005) The Handbook of Personal Wealth Management ( London: Institute of Directors).Google Scholar
- Grampp, W. (1989) Pricing the Priceless — Art, Artists and Economics ( New York: Basic Books).Google Scholar
- Keynes, J.M. (1947) The General Theory of Employment, Interest and Money ( London: Macmillan, now Palgrave Macmillan).Google Scholar
- Kochugovindan, S. (2005) Barclays Capital Equity Gilt Study (London: Barclays Bank).Google Scholar
- Mei, J.E. and Moses, M. (2002) “Art as an Investment and the Underperformance of Masterpieces”, American Economic Review, 92 (1): 1656–68.CrossRefGoogle Scholar
- Mei, J. and Moses, M. (2005) “Vested Interest and Biased Price Estimates: Evidence from an Auction Market”, Journal of Finance, 60 (5): 2409–35.CrossRefGoogle Scholar
- Odean, T. (1998) “Are Investors Reluctant to Realise their Losses?”, Journal of Finance, 53 (5): 1775–98.CrossRefGoogle Scholar
- Pesando, J.E. (1993) “Art as an Investment: The Market for Modern Prints”, American Economic Review, 83 (5): 1075–89.Google Scholar
- Pesando, J.E. and Shum, P. (1996) “Price Anomalies at Auction: Evidence from the Market for Modern Prints”, in V. Ginsburgh and P.-M. Menger (eds), Economics of the Arts: Selected Essays ( Amsterdam: Elsevier ).Google Scholar
- Rouwenhorst, K.G. (2004) “The Origins of Mutual Funds”, Yale ICF Working Paper no. 04–48.Google Scholar
- Stein, J.P (1977) “The Monetary Appreciation of Paintings”, Journal of Political Economy, 85 (5): 1021–35.CrossRefGoogle Scholar
Copyright information
© Rachel Campbell and Joshua Pullan 2007